The Apple modem is inherited from old Intel modem. Poor wireless reception (which I consider it is one of the most important thing for a phone), slower switching between 4G/5G, lack of mmWave.
Apple bought Intel modem business for about $1B . However, Intel bought the modem business from Infineon before that for $1.4B .
Intel bought and largely just kept shipping products. ( in business of selling modems to multiple folks so kind of hard to just stop and still have customers).
Infineon has some baggage about slow adoption of CDMA ( modulation ... not the SIM/backend stuf) that was part of 4G/5G. Intel got into the weeds by trying to push the modem business into using the same fab process at CPU business ( shotgun marriage picking of fab process. instead of trying to be a good fab partner first. Intel spent billions muying more 'customers' for their fabs for a while Altera was another. )
In contrast, Apple wen't 'dark'. That old Intel product is more than 5 years old. There are no guarantees that if 'start over from scratch' what you'll get will be better ( or worse). But Apple bet the farm on a deep reboot.
This modem has been 'dark' so long that it could be either way. Shouldn't assume it is very good or very bad.
Skipping mmWave is a good simplification if starting over from scratch. Decent chance missing more than just that, but will be 'good enough' for the 16e and iPad tasks.
Even Apple know this modem is not on par with Qualcomm and yet they still choose to put an inferior product on $600 dollars phone and they will continue to shove it into their newer products.
The $600 is about as much as Apple charging higher prices for the Flash/SSD storage increase. Probably not handing that out for 'free'. The 8GB of memory too.
Apple modem just doesn't compete with Qualcomm. This switch is entirely from Apple's greed. It isn't switching from Intel to Apple Silicon, it is switching from a better product to an inferior one.
Remains to be seen if greed. Apple is going to sell lots less radios than Qualcomm will (for a long while , unless Qualcomm does something crazy). Cost may not go down much if have to amortize just as much R&D spend that Qualcomm does on a smaller volume radios. Just trading additional R&D expenses for a subset of Qualcomm licensing fees.
Qualcomm is not failing to execute like Intel was . It is much easy to speed past someone stuck in a ditch along the road than it is on someone cruising at a decent speed with few problems.
The interoperability and standards drama ( i.e., overhead) likely is not going to decrease any time soon. Making the next gen isn't going to get cheaper.